NETHERLANDS - The Dutch minister of finance Wouter Bos today said pension funds with liquidity problems should not expect any financial help from the government.
Asked if financial aid for pension funds similar to that given to bancassurers was on the cards, Bos told delegates: "We have delimited the term financial institutions, to prevent legal precedence."
He was speaking at a conference of the Dutch association of corporate pension funds (OPF) in The Hague.
Still, he admitted the position of Dutch pension funds is "worrying", adding that the government would review its stance if the situation demanded it.
Separately, Bos revealed that the new Premium Pension Institution (PPI), previously dubbed API-light, which is being created by the Dutch government as part of a new international vehicle to tap IORP guidelines, has been approved by the council of ministers.
He called the new vehicle an important "chance for cross border pension activity".
IPE revealed last month the PPI was being extended to cover all contribution-based scheme and may be applicable to some overseas defined benefit (DB) arrangements. (See earlier IPE story Dutch 'API lite' extended to cover some DB)
The Dutch second chamber will decide on the new vehicle on December 3.
In his speech, Bos stressed that a facility for a multi-fund of several corporate pension funds is a necessity and should be legislated as soon as possible.
"A multi-corporate pension fund for is high on the agenda of the government," he said. OPF has been pressing the matter with the government for several months.
Bos also projected that inflation will next year be more in the region of 2%, rather than the earlier expected 3.5%.
"The government then perhaps needs to compensate less in loss of purchasing power for pensioners via the [state pension] AOW," concluded Bos.
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